Herbalife Review – A Pyramid Scheme Since 1980?

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I think you’ll agree with me that every man and his dog are promoting Herbalife and their products.

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This is a good thing, however, should you get involved or are you wasting your time and money?

The fact of the matter is, 86% of people who signed up make zero dollars.

Surprising?

Very, considering everyone claims this is the the best MLM company since sliced bread.

I like to get to the facts before coming up with my own conclusion so keep reading my Herbalife review for the cold hard truth about this company.

At a Glance

Name: Herbalife

Website: herbalife.com

Date launched: 1980

Price to Join: $59+

My Rating: 5/10

What Is Herbalife?

Herbalife is a Multi-Level Marketing company based in Los Angeles, California, U.S.

It was founded in 1980 (39 years ago) by Mark R Hughes and currently has over 8000 employees.

Herbalife develop, market and sell health supplements, weight management, sports nutrition and even personal care products.

Due to the rise of social media, the fitness industry and internet marketing, Herbalife has been a prime target for those looking to make passive income.

Lets Look at The Products

Herbalife Products

The good thing about Herbalife is that they have a wide range of products to choose from.

They have proven to benefit users and the reason they have a fairly decent reputation, considering all the lawsuits they’ve been involved in.

They somehow manage to stand their ground and wiggle their way out of trouble.

But more on that soon.

Core Products – The core products consists nutrition basics. There are a variety of flavors and sizes available. Basically, these are “starter products” to try so you know if it’s right for you.

Cost: $25 – $42

Sports Nutrition – The sports supplements are designed to help you perform longer and recover faster. These range from protein powders, fitness drinks and green tea.

Cost: Starts at $37

Health and Weight Management – This is the product line if you’re trying to maintain weight or even lose it. It is the healthy side of Herbalife as it consists of nutritional shakes, caffeine metabolism enhancers and total control tea.

Cost: Varies

Specialized Nutrition – The specialized nutrition product line helps with joint support, soothing the stomach, nutrient absorption and even daily boosters, specifically for new moms.

Cost: Starts from $13

Skin and Hair Care – If you love taking care of your skin and hair, this product line is for you. It helps with dry skin, wrinkles and acne for both oily and dry skin.

Cost: Starts at $100

You Can Only Purchase From Individual Distributors

Unfortunately these products aren’t easy to purchase.

You have to purchase directly off of distributors so they get a commission for the purchase and move up the ranks.

However, I think this is a brilliant idea because it means distributors are in-demand.

They can obtain repeat buyers with the right audience and have continual growth and income.

So What’s The Business Opportunity Everyone Speaks Of?

The business opportunity is actually selling the products and earning commissions.

The concept here is that you sell the products to someone, then they sell those products to someone else.

But of course everyone has to exploit the system. It has changed from selling the products to first recruiting and then selling the products.

These people will become apart of your downline. You’ll earn commissions not just from your own referrals, but their referrals too.

This is called Multi-Level Marketing and it’s all the rage now.

This is why everyone in Herbalife wants to recruit you.

They want you in their downline in the hopes you will start selling the products and earn them money.

However, this becomes a big problem when everyone advertisers the “business opportunity” and not the actual products.

Most Herbalife distributors want to recruit you so you can make them money.

When People Live & Breath Herbalife

To be a successful distributor at Herbalife you will need to LIVE AND BREATH Herbalife.

I’m not even kidding.

You have to continue purchasing the products just to keep your account active!

Then you have to convince others that the products are great so they can purchase off of you and convince their own downline how good the products are.

Distributors have to reach their annual VP (Volume Points) quota to remain active, which is gained by buying and selling products.

If you don’t reach your quota, you forfeit all future commissions from your downline.

Also the more products you purchase the higher your discount gets. Spend enough money and you can get up to 50% discount!

This is a nice idea for avid product users.

Where You’ll Find Herbalife Distributors

Herbalife distributors are literally everywhere, and you have to be careful that you’re not sucked into something you don’t want to be in.

Because as soon as you are recruited, they want you to buy one of the product packs since this is how they make money.

Distributors can be found at seminars where they will offer you a job opportunity.

These seminars are becoming more popular as distributors can recruit a large number of people in one sweep.

They usually hype you up with loud music and lots of talk about changing your life, creating a better future and living the luxurious lifestyle.

Some distributors will even come to your house and give you a presentation

Other common methods of recruiting are Craigslist and social media, more so Facebook and Instagram.

Instagram models and bodybuilders promote Herbalife products all the time.

And their audience end up signing up under them because they think they will get fit and strong just like them.

Lets Just Look At The Facts (Red Flags)

Red Flag

Anyone can say they have the best opportunity to live the luxurious lifestyle, but what are your odds of making this sort of quit-your-day-job income they all speak of?

1. 86% of Distributors Earn No Money

That’s right, 86% of ALL distributors who sign up make no money.

That is a shocking statistic and it shows that your chances of recruiting people and making money are slim.

Plus you actually lose money if you decide to make that first product purchase.

2. 7% make $245 or less

Maybe if you work hard enough you can be part of the top 7% who make $245, which is better than nothing.

That’s not per month, that is total. They usually quit after that because it gets too hard to recruit.

3. 1.4% make $4350

Now we’re getting somewhere. You could be part of the 1.4% who actually make a good profit.

This means for every 1000 people who sign up, 14 of those make $4350.

4. 0.14% make $82,000!?!

What sort of job opportunity is this? Not even the top guys are making 6 figures a year?

That $82,000 isn’t even per year, that is total amount earned.

Low Income Opportunity

This so-called opportunity isn’t that great after all.

The top guys aren’t even earning a 6 figure income.

To put that statistic into perspective, for every 1000 people that sign up to Herbalife, 1.4 people make $82,000.

This means 14 out of 10,000 people make the top income. Pretty low numbers in my opinion.

I know people that make 6 figures per month from niche sites, and they don’t do ANY selling or recruiting.

Starting Cost

When a distributor recruits you, the minimum to get started is $59.

However, most distributors will try and get even more money by offering you the highest level for bigger commissions.

This can cost up to $4000. And if you’re desperate to make all this money they promise, you will probably do it.

I mean, this is clearly a pyramid scheme, I don’t know how it hasn’t been shutdown yet.

Oh wait…yes, there it is.

Legal Trouble

Gavel

In 2016 they paid 200 million to the FTC and had to change their business model.

Luckily for them they paid their way out of this one.

FTC Facebook Post About Herbalife

Other companies who have made allegations against Herbalife have tried to sue them and lost. They were forced to pay money to Herbalife.

According to FTC, they are in compliance with all laws and regulations which is why they haven’t been shutdown.

How did they restructure their business model?

Well, instead of telling people they have a business opportunity, now the incentive is for you to buy products and sell the products to advance the company.

But you and I as well as thousands of others know, 100%, without a doubt, that distributors are not abiding by this rule.

Is Herbalife A Pyramid Scheme?

There are lots of people saying Herbalife is a pyramid scheme and I have to agree with them.

What is the main focus of Herbalife?

Recruiting.

How do you sell the products? You recruit people, then sell to them.

Herbalife distributors are recruiting machines and that’s a big problem.

Here’s what I pulled from Wikipedia for the definition of pyramid scheme:

“A pyramid scheme is a business model that recruits members via a promise of payments or services for enrolling others into the scheme, rather than supplying investments or sale of products.”

Got ’em!

Distributors everywhere all over the internet offer you a business opportunity.

They promise you that you can have the latest model car, big mansions, endless vacations and financial freedom.

They hype Herbalife up like it’s the best money-making system in the world.

The seminars are the absolute worst for doing this.

Even the founder himself says “fake it till you make it”.

As in, lie to your audience and say you’re making $150,000 per year, driving a lambo and living in a mansion.

This man cannot be trusted if he is telling you to lie about your earnings.

This system absolutely reeks of a pyramid scheme.

Yes, Herbalife is a Pyramid Scheme!!!

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Should You Avoid Herbalife?

As you can see, Herbalife has been involved in multiple lawsuits and continues to be called a pyramid scheme by some very reputable people.

I’m sorry to say but you’ll be spending more money than you earn and that’s why most people don’t earn a dime.

Over 90% of people that join actually quit within the first year.

It is not a sustainable business opportunity, it has a bad name and statistics show that you spend more money than you earn.

You should stay away from Herbalife unless you want to lie and deceive your friends and family that they can live the lavish lifestyle.

Because that won’t happen and you’ll only be taking their money.

A Free & Legit Way To Make Money

Herbaife is a risky business to get into.

You could spend thousands of dollars and kill relationships by deceiving friends and family.

Well, I make 4-figures per month and guess what?

I don’t do any recruiting.

I don’t do any selling.

I don’t do any seminars and definitely don’t post anything on social media.

==>Click here to see what I’m talking about

I create niche websites reviewing Amazon products, get traffic from Google and earn daily income.

It’s nothing new but it’s proven to work, 100% legit and completely free to get started.

Well that concludes my Herbalife review.

Have you had experience with Herbalife? Lets discuss it in the comments below 🙂

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